West Atlantic AB (publ) (the “Company”, including its subsidiaries the “Group”), LUSAT, a holding company owning SWIFTAIR and AVIATION LEASING SPAIN (among other entities) (“LUSAT”) and certain major bondholders holding bonds in the Company’s outstanding bond loan with ISIN SE0007783840 (the “Bonds”) are discussing principal terms for a refinancing of the Group.
LUSAT has made an offer to the shareholders of the Company and the bondholders as regards the repayment of the Bonds (the “Offer”). The Offer includes several different features such as an equity injection in the company and pre-agreed assets to be allocated to the bondholders.
Provided that the transaction will materialise, a partial amortisation will be made to the bondholders and the remaining claim of the bondholders will be transferred to a SPV entity which will accede certain pledged assets under the Bonds and certain other assets and which will issue new bonds to the bondholders in exchange for the existing Bonds, with the purpose to reimburse the bondholders’ remaining claim by way of realisation of the assets held by the SPV.
The Offer is subject to more detailed discussions and certain conditions including approval by the bondholders at a written procedure and approval by the Company’s board of directors. Additional information will be provided once available.